EPFO UPDATE: Ever since the Modi government has approved the UPS scheme for government employees, there has been a buzz about giving gifts to private employees. Soon, people working in the private sector are going to have a great time. The Employees’ Provident Fund Organization, i.e., EPFO, has submitted a proposal to increase the salary limit for Provident Fund and Pension Contribution calculation.
Now, the Finance Minister has the opportunity to make a significant decision regarding the proposal received from the Ministry of Labor, which is considered a gift. Now, the Finance Minister has tThe Ministry of Labor has requested an increase in the salary limit to Rs 21000 for this proposal. y of Labor, which is considered a giAcceptance of the demand will result in an increased pension for the retiring employees. It is believed that this could potentially benefit several crore employees, a fact that you should be aware of. Therefore, it is crucial that you are informed about the major update first.ployees may benefit from this, which is very important for you to know. Therefore, it is important that you know the big update first.
Know how much impact it will have.
Sources report that they received the proposal to increase the salary limit in April. Everyone is eagerly waiting for the Finance Ministry to make this decision soon. The Finance Ministry fixed the salary limit for pension calculation at Rs 15,000 from 1 September 2014, and the demand for an increase is now gaining momentum.
The government can soon increase the salary limit from Rs 15,000 to Rs 21,000. The Labor Ministry has sent a proposal to the Finance Ministry to increase it to Rs 21,000. If this proposal gets permission, then the pension will also increase significantly.
How much will the pension be?
The Finance Ministry’s approval will result in a reduction in the employees’ net salaries. Furthermore, the reduction of 21,000×35/70 = Rs 10,050 per month will be beneficial on a large scale. Furthermore, according to the new rules, employees will receive an additional pension of Rs 2550 every month, which is very important to know.
According to the new rules, there may be a slight decrease in the employee’s in-hand salary. There may be more deductions from the salary for EPF and EPS. Currently, retired employees receive a somewhat reduced pension.
